Despite firms wanting to retain their key talent, up to 10% of the workforce can leave a company after keeping their jobs through the redundancy programme. Chris Philips explains how best to engage - and keep - talent.
Recent weeks have seen optimistic predictions that the worst of the recession is over and that the long awaited upturn will soon begin. However, despite this possible light at the end of the tunnel, unemployment figures continue to rise. The total number of those out of work is now higher than at any time over the last 10 years and each day brings reports of fresh job cuts.
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With so many redundancies being made, HR departments are under a great deal of pressure. As well as handling any changes to staffing levels, HR managers need to be working hard to make sure their remaining talent is retained. In these circumstances, employees that have ‘survived’ a redundancy programme often lose focus and begin to feel guilty and unsettled. Many will change their behaviour as a result, working in a less productive, ‘self-protective’ manner.
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It is common for up to 10% of the workforce to leave a company after keeping their jobs throughout the redundancy programme. The employees making up this second wave of departures are often the key talent within an organisation that businesses want to hold on to the most.
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Employee retention is always a key priority for HR (it has been voted the number one issue in Taleo’s annual HR Challenges Survey for the last three years) but in such a turbulent climate it really is more important than ever. But, if these surviving employees have become disenfranchised with the organisation, what can HR departments do to re-engage them and stop them wanting to leave?
The key to boosting retention is always employee engagement. Managers need to make staff feel their work is important and that, by putting in that extra bit of effort, they will be able to positively influence the overall success of the organisation. One way this can be done is through aligning the goals of each individual employee to the wider goals of the business. Having this connection between their day-to-day responsibilities and the success (or otherwise) of the business will emphasise the value of each individual’s role and create the feeling that, by putting in a little extra time and effort, they will positively impact the strength of the organisation.
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Goal alignment is an ongoing process and one that has to be embraced across the organisation, not just in the HR department. Although HR might facilitate the process and implement the system, goal alignment needs the commitment of everyone from the board level down. The process needs to begin with senior management figures clearly communicating the business’ primary goals and how these goals tie-in to the overall strategy. These goals need to be emphasised company-wide and then used as the basis for developing specific targets for individual employees.
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By clearly establishing a relationship between these corporate and individual targets, with rewards for achievement and accountability when goals are not met, employees are given a strong motivation to succeed as well making clear that the business is still progressing and has not been stalled by the recession. Employers can then be sure that the personal success of staff will have a direct business impact. Key to this kind of goal alignment strategy is the ability to measure achievement, on both a personal and business level, in relation to these targets. A unified talent management system will enable HR managers to objectively track these success levels and provide constructive feedback on a regular basis.
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It is also crucial for staff to feel that there will be opportunities for development. The number one cause of voluntary staff turnover is a lack of development opportunities. Companies should be looking to use succession planning to develop the future leaders of the organisation, assessing an employee’s strength for specific positions and checking whether staff are progressing.
By implementing mentoring, management training and job rotation schemes, businesses can guide the development of high performing employees, making them feel that they are valued and that they have a future within the business whilst ensuring that, when senior personnel leave, there is already a suitable replacement within the organisation. It is now possible to carry out succession planning quickly and cost-effectively by using an online talent management system to manage succession programmes, allowing a broader application of succession planning techniques.
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At the same time, internal mobility helps to keep all employees engaged by communicating internal vacancies across the organisation, thereby allowing for the optimal distribution of talent across the business. Talent management systems can be used to match current employees with open roles based on their skills, performance levels and future aspirations. This flexibility engages employees by ensuring they have access to any potential development opportunities as well as keeping sourcing costs low by filling vacancies with internal staff where possible.
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As the recession puts businesses under pressure, many HR departments are forced to make tough decisions and cut jobs. Once these redundancies programmes are over it is important that HR does not think the hard times are over. Organisations need to be working as hard as ever to make sure their remaining talent is retained. The best way to do this is through a rigorous and long-term talent management strategy. Implementing company-wide goals alignment, succession planning and internal mobility programmes will help keep talent engaged, motivated and in a position to take the business forward.
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Chris Phillips is from Taleo, an on-demand talent management solutions provider.
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